Lilis Energy, Inc. announced that the Tiger #3H has reached the 24-hour initial production rate. IP 24 rate of 1,821 Boepd, including 801 Bopd (63% liquids, 44% oil), on a three-stream basis, equivalent to 239 Boepd per 1,000 ft. The Tiger #3H was completed as a 7,634 ft. lateral with 38 stages using 200 ft. plug-to-plug spacing and approximately 1,847 lbs. of sand per ft. Lilis' second 3rd Bone Spring well highlights another economic zone within Lilis' core acreage and represents the latest encouraging data point in the Company's continued strategic delineation program. Decreased D&C cost for Bone Spring wells relative to Wolfcamp wells - The Bone Spring is a shallower target and requires one less string of pipe casing, with approximately $1.5-2.0 million in lower AFE costs per well compared to the Wolfcamp and provides attractive IRRs per well. The Bone Spring benches have shown continuity and make up approximately 28% of Lilis' 1,175 existing drilling inventory locations. Upcoming results from wells currently in the completion stage will be provided in an operations update in early 2019.

The company reaffirms its 2018 year-end exit rate production guidance of 8,000 net Boepd.